Sunnova Energy price target raised to $39 from $34 at KeyBanc

KeyBanc raised the firm’s price target on Sunnova Energy to $39 from $34 and keeps an Overweight rating on the shares. Despite recent outperformance, the firm believes that Sunnova continues to trade at a discount to intrinsic value. KeyBanc thinks that this dislocation has been driven by the overhangs created by rising rates, regulatory changes, and depressed power prices in key growth regions. Further, the firm believes that these headwinds are fully priced in, and expects them to abate in the near- to medium-term, reversing valuation pressures. KeyBanc expects that the ongoing strong execution of the growth plans and differentiated catalyst will further support the valuation.